Knight Therapeutics Inc T.GUD

More help options for Mr. Mugsy coming. Elii Lilly donanemab

[Chianchin]

The recent pullback in Eli Lilly’s stock provides an attractive buying opportunity ahead of the pharmaceutical company’s Alzheimer’s drug launch, Citi said.

Citi upgraded Eli Lilly to a buy rating from neutral. The firm also hiked its price target on the stock to $265 from $210. The new projection is 19.5% higher than Eli Lilly’s closing price Tuesday.

Eli Lilly’s competitor Biogen controversially received Food and Drug Administration approval for its Alzheimer’s treament, Aduhelm, in June. The head of the FDA in July called for a federal investigation into the approval of Aduhelm and big clinics announced they won’t administer the drug. Biogen generated $2 million in revenue in the first few weeks of its approval, the company said.

 

Shares of Eli Lilly are down 19.7% from August highs.

“Valuation rather than fundamentals/execution has always been our challenge with LLY. We believe the recent sell-off post Aduhelm launch gives investors an important entry point into the name,” Citi’s Andrew Baum said in a note.

The approval process and commercial rollout of Eli Lilly’s donanemab Alzheimer’s treatment will be smoother than Biogen’s drug launch, according to Citi

[MrMugsy]

I wish Eli Lilly all the best - I haven't even looked into the type of drug it is or what the cost will be. I just won't be playing their stock anyway - that's not my game. So much new information coming regarding Alzheimer's. The understanding is changing rapidly. The future should be exciting for those who can really attack it at the root.